In 2004, LTL did an experimental study to harness energy from bio mass. It first tried with a 7.5kW gassifier and then developed a 1MW power plant using steam cycle. The fuel wood for this power plant was to be obtained from the neighborhood. The trees of a particular species were farmed in the area and its branches were harvested in a sustainable manner to feed the power plant. LTL Holdings signed a Power purchase Agreement with Ceylon Electricity Board. The 1 MW project costing nearly USD 1M was invested by LTL Holdings. Since its commissioning plant was operated for a two year period. Subsequently due to the problems of sourcing fuel wood for this plant the operation has been discontinued.